Speech by HE Suy Sem, Minister of Industry, Mines and Energy at At The Closing of the International Conference on Mining

Speech by HE Suy Sem, Minister of Industry, Mines and Energy

At The Closing of the International Conference on Mining – “Staking a Claim for Cambodia”

May 27^th 2010
at InterContinental Hotel

- Excellencies and Lok Chumteav the Senators and Parliamentarians;

- Excellencies and Lok Chumteav the Ambassador and Diplomatic Representatives;

- Mr. Gouglas Broderick, UN Resident Coordinator and UNDP Resident Representative;

- Excellencies,  Lok Okna, Lok Chumteav, distinguished national and international guests, ladies and gentlemen!

I am very pleased to be here today to participate with Your Excellencies, Lok Chumteav, ladies and gentlemen in the closing session of this important international conference on mining – “Staking a claim for Cambodia”.

Having listened to the results reported in the conference, I would like to sincerely congratulate and appreciate the fruitful outcome achieved through in-depth discussions on key emerging issues, the consideration and perspective on key activities to promote mining sector, particularly the mineral exploitation to be started in Cambodia in the near future.

For the last two days all of you had listened, learned, discussed, and shared the lessons and experiences with one another and ultimately understood the basis for the development of policy, legislation and guidelines, and establishment of enabling environment necessary for attracting mining investment in the country.

On behalf of the Royal Government of Cambodia (RGC) the Ministry of Industry, Mines and Energy (MIME) and myself, I would like to convey my profound thanks and sincere appreciation for the hard and dynamic effort paid by the organizers and all the participants in the conference, particularly the speakers, experts, the translators and others for contributing their wisdom, knowledge, experiences, and practical actions making the conference going smoothly with successful and fruitful outcome.

Excellencies, Ladies and Gentlemen!

In fact, the need for mineral resources is increasing steadily and minerals are inevitably needed for producing consumer goods, equipment and daily utensil as well as in construction of infrastructure and facility for the country. It is obvious that development without production basis and dependent entirely on imports will lead to higher production cost. We, therefore, can conclude that economic development requires the support from the development of domestic resources.

In addition to providing revenue for national budget mineral development also contributes to the implementation of the government policy as illustrated in the conference by HE Sok Leng, the Director General of Mines, including the creation of employment for local people, curtailing people’s displacement from rural area to the city, expansion of livelihood options for people in the region, and thus providing impetus to respond to target on poverty reduction.

The outcome from the conference will be essential for the officials in charge of mining sector, the mining investors, and relevant stakeholders and we want to see practical and constructive actions that would bring forward the outcome from the conference. We will make all our effort to eliminate all inherent difficulties through management and development of the sector in a transparent, efficient and sustainable manner.

According to the high recommendations by Samdech Aka Maha Sena Padei Techo Hun Sen, Prime Minster of the Kingdom of Cambodia at the opening of the conference and in accordance with the outcome and good experiences earned through the conference, I would like to raise some essential points as follows for which attention are needed:

1. Human resource provision is very important when our country currently has limited officials with geology-mineral expertise and as the school of geology-minerals had been closed since 1999. Thus the attention to developing new generations to take on the responsibility for the sector requires short term training in the country, the provision of scholarship for overseas education, and seeking potential for reopening the school of geology-minerals. I would like to take the opportunity to call upon international organizations, association of mining investors, and national institutions to make contribution to supporting this proposed important training programme;
2. Seeking all means to make available capital for development of a mineral laboratory in the country. So far we have lack of laboratory and all the mineral samples have been sent abroad for analysis, thus costing time and money in addition to complicated procedure in administrative arrangement for having samples analyzed abroad;
3. Illegal mining operations will generally have to be eliminated through the collaboration of the MIME with all relevant agencies and local authority. In dealing with illegal small scale artisanal mining operations in mining concessions, the Directorate General has been formulating a study from which the findings will form basis for developing policy that will determine how to deal with such illegal activities. The solution may include their legalization and limit their operations to designated areas with low mining potential and as defined by the Directorate General on Mines and through their organization into small scale mining community operation;
4. Taking the private sector as core partner in mining investment in the country. It is most needed and unavoidable partner with whom we have been already successful in its engagement in mineral development in the country, particularly when the state does not have sufficient capital and human resources; and
5. The requirement of investors operating in the mining sector in the country to bear the social and environmental responsibility by complying with all the provisions in the law and regulations and particularly the provisions in the agreement between the company and ministries responsible for mineral sector. When considering mining the country companies need to take into account community living the mining area through their engagement and respect for their local traditions and practices.
6. Continue to build policy and legal framework needed to ensure transparent, effective and sustainable management of the mining industry.

I think that the comments, experiences and recommendation made in the conference are essential contribution and specific actions need to be designed to pursue successful and fruitful outcome. We hope that the support provided through the collaboration in this sector will be expanded by the United Nations Development Programme (UNDP), Japan International Development Agency (JICA), and other donor agencies, and national and international organizations.

Finally on behalf of the RGC, UNDP Cambodia, and myself I would like to express my sincere thanks and wish Your Excellencies, Lok Okna, Lok Chumteav, distinguished guests, ladies and gentlemen a good health and renewed successes in your respective duty and businesses.

With this, I would like to declare the closing of the workshop.

Thank You.